DA Davidson Issues Positive Forecast for Advanced Micro Devices (NASDAQ:AMD) Stock Price

Key Points

• DA Davidson raised its price target to $425 (from $375) and maintained a "buy" rating, implying roughly a 19.6% upside, while multiple other firms have also lifted ratings and targets, keeping consensus at a "Moderate Buy."
• AMD delivered a Q1 beat—EPS $1.37 vs. $1.29 and revenue $10.25B vs. $9.90B (up 37.8%)—and raised Q2 revenue guidance, driven by strong AI/data‑center demand.
• Potential downside risks include a rich valuation (PE ~134), notable recent insider selling (~304,672 shares, ~$70M) and supply‑chain/packaging and memory‑pricing constraints that could pressure margins or fulfillment.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) had its price target hoisted by investment analysts at DA Davidson from $375.00 to $425.00 in a note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a "buy" rating on the semiconductor manufacturer's stock. DA Davidson's price objective would suggest a potential upside of 19.63% from the stock's previous close.

Other equities analysts also recently issued research reports about the company. Erste Group Bank raised Advanced Micro Devices from a "hold" rating to a "buy" rating in a research report on Thursday, April 2nd. Truist Financial set a $283.00 price objective on Advanced Micro Devices in a research note on Wednesday, February 4th. Sanford C. Bernstein raised shares of Advanced Micro Devices from a "market perform" rating to an "outperform" rating and set a $525.00 target price for the company in a research note on Wednesday. Phillip Securities upgraded shares of Advanced Micro Devices from a "moderate buy" rating to a "strong-buy" rating in a report on Sunday, February 8th. Finally, China Renaissance initiated coverage on shares of Advanced Micro Devices in a research note on Tuesday, January 13th. They set a "buy" rating and a $291.00 price target on the stock. One equities research analyst has rated the stock with a Strong Buy rating, thirty-two have given a Buy rating and eight have issued a Hold rating to the stock. Based on data from MarketBeat.com, Advanced Micro Devices has a consensus rating of "Moderate Buy" and an average price target of $359.11.

Advanced Micro Devices Stock Up 4.0%

Shares of NASDAQ AMD opened at $355.26 on Wednesday. The firm's 50-day moving average is $235.61 and its two-hundred day moving average is $229.21. The company has a market capitalization of $579.19 billion, a PE ratio of 134.06, a price-to-earnings-growth ratio of 1.23 and a beta of 2.40. Advanced Micro Devices has a 12-month low of $96.88 and a 12-month high of $362.79. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.85 and a quick ratio of 2.01.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last issued its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share for the quarter, topping analysts' consensus estimates of $1.29 by $0.08. Advanced Micro Devices had a net margin of 12.52% and a return on equity of 8.84%. The business had revenue of $10.25 billion during the quarter, compared to analysts' expectations of $9.90 billion. During the same period last year, the company posted $0.96 EPS. The company's revenue was up 37.8% on a year-over-year basis. Equities analysts anticipate that Advanced Micro Devices will post 5.82 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, EVP Paul Darren Grasby sold 7,500 shares of the firm's stock in a transaction that occurred on Wednesday, March 11th. The shares were sold at an average price of $204.87, for a total value of $1,536,525.00. Following the sale, the executive vice president directly owned 129,598 shares of the company's stock, valued at approximately $26,550,742.26. This trade represents a 5.47% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Forrest Eugene Norrod sold 19,450 shares of the business's stock in a transaction that occurred on Wednesday, February 11th. The shares were sold at an average price of $216.81, for a total transaction of $4,216,954.50. Following the completion of the sale, the executive vice president owned 289,098 shares of the company's stock, valued at approximately $62,679,337.38. The trade was a 6.30% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 304,672 shares of company stock valued at $70,135,070 in the last quarter. Corporate insiders own 0.50% of the company's stock.

Institutional Trading of Advanced Micro Devices

Several institutional investors have recently made changes to their positions in AMD. Columbia Bank increased its stake in Advanced Micro Devices by 0.7% during the first quarter. Columbia Bank now owns 5,188 shares of the semiconductor manufacturer's stock worth $1,055,000 after acquiring an additional 34 shares during the last quarter. Evolution Wealth Management Inc. lifted its stake in shares of Advanced Micro Devices by 11.0% in the 1st quarter. Evolution Wealth Management Inc. now owns 352 shares of the semiconductor manufacturer's stock valued at $72,000 after purchasing an additional 35 shares in the last quarter. Focused Wealth Management Inc grew its holdings in shares of Advanced Micro Devices by 2.7% during the 1st quarter. Focused Wealth Management Inc now owns 1,431 shares of the semiconductor manufacturer's stock worth $291,000 after purchasing an additional 37 shares during the period. HHM Wealth Advisors LLC increased its position in Advanced Micro Devices by 2.4% during the 3rd quarter. HHM Wealth Advisors LLC now owns 1,742 shares of the semiconductor manufacturer's stock worth $282,000 after purchasing an additional 40 shares in the last quarter. Finally, James J. Burns & Company LLC raised its holdings in Advanced Micro Devices by 2.3% in the fourth quarter. James J. Burns & Company LLC now owns 1,816 shares of the semiconductor manufacturer's stock valued at $389,000 after buying an additional 40 shares during the period. 71.34% of the stock is owned by hedge funds and other institutional investors.

Advanced Micro Devices News Summary

Here are the key news stories impacting Advanced Micro Devices this week:

• Positive Sentiment: Q1 beat and bullish guidance — AMD reported above-consensus Q1 results and raised Q2 revenue guidance (roughly $10.9B–$11.5B / ~$11.2B midpoint), driven by a big jump in data-center (AI) sales; that beat-and-raise is the primary catalyst for the rally. Read More.
• Positive Sentiment: AI & data-center demand conviction — Management highlighted strong EPYC/Instinct adoption and secured memory supply for AI deployments, supporting multi‑quarter revenue visibility for server CPUs and accelerators. Read More.
• Positive Sentiment: Analyst upgrades and higher price targets — Multiple firms raised ratings/targets (Goldman, Truist, Wedbush, Bernstein among others), adding momentum and buy-side conviction after the results. Read More.
• Neutral Sentiment: Macro tailwind — improved risk sentiment from reports of progress toward a U.S.‑Iran deal lifted futures and helped tech names broadly, amplifying AMD’s earnings move. Read More.
• Neutral Sentiment: Partnerships & ecosystem traction — recent cloud and partner announcements (e.g., Zyphra, Riot expansions) validate product wins but are longer‑lead revenue signals rather than immediate upside. Read More.
• Negative Sentiment: Supply‑chain and production constraints — analysts and industry write‑ups flag packaging (CoWoS) bottlenecks and capacity limits that could cap near‑term fulfillment, a key reason some investors remain cautious. Read More.
• Negative Sentiment: Valuation and profit‑taking concerns — HSBC and others flagged valuation/peak expectations ahead of earnings; notable insider/institutional selling and rotations have been reported, creating downside risk if guidance or margins slip. Read More.
• Negative Sentiment: Near‑term margin/price risks — management noted that rising memory/pricing dynamics could pressure PC/gaming end markets even as AI/data‑center revenue accelerates, which investors will watch for in upcoming quarters. Read More.

Advanced Micro Devices Company Profile

Advanced Micro Devices, Inc NASDAQ: AMD is a global semiconductor company that designs and sells microprocessors, graphics processors, chipsets and adaptive computing solutions for a broad set of markets. The company's product portfolio includes consumer and commercial CPUs under the Ryzen and Threadripper brands, data center processors under the EPYC brand, and Radeon graphics processing units for gaming and professional visualization. AMD also offers semi-custom system-on-chip (SoC) products for gaming consoles and other specialized applications, and provides supporting software and platform technologies for OEMs, cloud service providers and end users.

Founded in 1969, AMD has evolved from a supplier of logic chips into a diversified, fabless semiconductor designer.

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